The following questions are based on the following table

Scenario Probabilities	Scenario Returns - Security A	Scenario Returns - Security B	Scenario Returns- Security C
.35	15%	25%	-6%
.25	10%	12%	0
.25	7%	7%	-3%
.15	5%	1%	4

1A) What are the Standard deviations for each of the three stocks (A, B, and C)?

	a.	14.69%, 80.83%, 12.19%
	b.	3.83%, 8.99%, 3.49%
	c.	9.87%, 14.50%, 5.32%
	d.	12.65%, 18.59%, 6.27%

1B) What is the covariance for (A, B), (A, C), and (B, C)?

	a.	34.34, 10.69, 26.44
	b.	1185, -369, -545
	c.	34.34, -10.69, -26.44
	d.	139.80, -46.35, -68.10

1C) What are the correlation coefficients for (A, B), (A, C), and (B, C)?

	a.	99, -80, -84
	b.	98%, 88%, 85%
	c.	.99, -.80, -.84
	d.	.99, .80, .80

1D) Assume that the expected returns for stocks B and C are 4% and 7.5%, and that their standard deviations are 14.5% and 5.32%. If their correlation is -.5, what is the expected return and the SD for a portfolio consisting of 40% Stock B and 60% Stock C?

	a.	6.1%, 5.03%
	b.	6.1%, 6.60%
	c.	6.1%, 3.34%
	d.	5.75%, 5.03%